Guarantees of origin specify the energy source from which electricity is produced. They serve to enable users of electricity to support the production of energy with renewable sources within the definition of the EU directive 2009/28/EC.

Landsvirkjun is involved in various social projects and follows a policy of providing grants to good causes. The company has supported a number of causes, including various charities, cultural and educational projects and sports and leisure activities.

Landsvirkjun has erected it's first wind turbine in an area known as "Hafið" near Búrfell Power Station. Thanks to rapid technological development wind energy is fast becoming a viable option when it comes to environmentally friendly power.

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Submarine cable, together with industrial developmentpossibly one of the biggest business opportunities Iceland has faced

23. April 2012

In his speech Landsvirkjun CEO, Hörður Arnarson, stated that Iceland currently holds a highly unique position among European nations in its potential to increase electric power production through renewable energy resources. Increased power production could be used for continuing to develop varied industries, and at the same time do business with electric power through a submarine cable to Europe.

CEO Arnarson emphasised that the laying of a submarine cable should not prevent further industrial development in Iceland, but could instead be an addition that fit well within the continued industrial development of the country.

“The laying of a submarine cable to Europe, together with vigorous industrial development in Iceland, is probably one of the biggest business opportunities Iceland has faced“, CEO Arnarson said.

Landsvirkjun proposes that over the next couple of years further analyses and research of the social, legal and technical issues in connection with the project be undertaken in cooperation with the authorities, universities, interest groups, energy companies and other interested parties.

In his speech CEO Arnarson also mentioned that the changed circumstances in financial markets call for a new approach in financing Landsvirkjun. By focusing on its owner for increased equity injection instead of a development solely driven by increased borrowing, operating risks could be reduced and dividends be paid sooner to the owner.

CFO Hörður Arnarson Minister Oddný Harðardóttir

Minister of Finance Oddný Harðardóttir addressed the meeting and announced that she had decided to appoint a work group to start work on the feasibility of laying a submarine cable between Iceland and the British Isles or mainland Europe, for which she will call for nominations from all party groups.

Landsvirkjun chairwoman Bryndís Hlöðversdóttir emphasized in her address, the importance of the authorities setting an owner‘s strategy for state-owned companies such as Landsvirkjun. Chariwoman Hlöðversdóttir stated key emphasis of operation, defining the main expectations to the companies and explaining the State‘s objectives with its ownership.

Landsvirkjun CFO Rafnar Lárusson presented the 2011 financial statement, according to which Landsvirkjun‘s cash flow continues to improve. Indebtedness is still excessive and over the coming years emphasis will continue to be on repaying debt and reduce operational risks.